The price of a television set with 13% GST is $1356.
- How much does Adam have to pay if the GST is decreased to 11%?
- How much saving does Adam enjoy as a result of the decrease in GST?
(a)
Price of the television set with 13% GST
= 100% + 13%
= 113%
113% → $1356
1% → 1356 ÷ 113 = $12
100% → 100 x 12 = $1200
Price of the television set with 11% GST
= 100% + 11%
= 111%
Amount that Adam has to pay
= 111% x 1200
=
111100 x 1200
= $1332
(b)
Saving that Adam enjoys
= 1356 - 1332
= $24
Answer(s): (a) $1332; (b) $24